Tom Peters

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Tom Peters Re-Imagine!Business Excellence
in a Disruptive AgeHewlett-PackardCopenhagen/30
.05.2005
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UPS used to be a trucking company with
technology. Now its a technology company with
trucks. Forbes
3
Slides at tompeters.com
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Re-imagine! Not Your Fathers World I.
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26m
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Vaunted German Engineers Face Competition From
China Headline, p1/WSJ/07.15.2004
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43h
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Chinas Next Export Innovation McKinsey
Quarterly (Cover Story)
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2003 98 U.S.2005 U.S. 150 Shanghai
500
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1 Houston/Month
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Worst in 7Q Steel Plastic
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2.5M vs 7.1M40/40
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2007 CgtE
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35/70
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The world has arrived at a rare strategic
inflection point where nearly half its
populationliving in China, India and Russiahave
been integrated into the global market economy,
many of them highly educated workers, who can do
just about any job in the world. Were talking
about three billion people. Craig
Barrett/Intel/01.08.2004
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THREE BILLION NEW CAPITALISTS Clyde Prestowitz
17
This is a dangerous world and it is going to
become more dangerous.We may not be
interested in chaos but chaos is interested in
us.Source Robert Cooper, The Breaking of
Nations Order and Chaos in the Twenty-first
Century
18
Re-imagine! Not Your Fathers World II.
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A focus on cost-cutting and efficiency has
helped many organizations weather the downturn,
but this approach will ultimately render them
obsolete. Only the constant pursuit of innovation
can ensure long-term success. Daniel Muzyka,
Dean, Sauder School of Business, Univ of British
Columbia (FT/09.17.04)
20
How we feel about the evolving future tells us
who we are as individuals and as a civilization
Do we search for stasisa regulated, engineered
world? Or do we embrace dynamisma world of
constant creation, discovery and competition?
Do we value stability and control? Or evolution
and learning? Do we think that progress
requires a central blueprint? Or do we see it as
a decentralized, evolutionary process? Do we
see mistakes as permanent disasters? Or the
correctable byproducts of experimentation? Do
we crave predictability? Or relish surprise?
These two poles, stasis and dynamism,
increasingly define our political, intellectual
and cultural landscape. Virginia Postrel, The
Future and Its Enemies
21
Rule 1 When the world goes flatand you are
feeling flattenedreach for a shovel and dig
inside yourself. Dont try to build walls.Rule
2 And the small shall act big. One way small
companies flourish in the flat world is by
learning to act really big. And the key to being
small and acting big is being quick to take
advantage of all the new tools for collaboration
to reach farther, faster, wider and deeper.Rule
3 And the big shall act small. One way that
big companies learn to flourish in the flat world
is by learning how to act really small by
enabling their customers to act really big.Rule
4 The best companies are the best
collaborators. In the flat world, more and more
business will be done through collaborations
within and between companies, for a very simple
reason The next layers of value creationwhether
in technology, marketing, biomedicine or
manufacturingare becoming so complex that no
single firm or department is going to be able to
master them alone.Rule 5 In a flat world, the
best companies stay healthy by getting regular
chest X-rays and then selling the results to
their clients.Rule 6 The best companies
outsource to win, not to shrink. They outsource
to innovate faster and more cheaply in order to
grow larger, gain market share and hire more and
different specialistsnot to save money by firing
more people.Rule 7 Outsourcing isnt just for
Benedict Arnolds. Its also for
idealists.Source Tom Friedman/The World Is
Flat
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Creativity Index The 3 TsTechnology (HT
Index/firms , Innovation Index/patent
growth)Talent ( with bachelors
degrees)Tolerance (Melting Pot
Index/foreigners, Bohemian Index/artists et
al.)Source Richard Florida, The Rise of the
Creative Class
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The Creative Age is a wide-open game. Richard
Florida, The Rise of the Creative Class
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The Generals Story. (And the Admirals.)
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If you dont like change, youre going to
like irrelevance even less. General Eric
Shinseki, Chief of Staff. U. S. Army
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Nelsons secret Other admirals more
frightened of losing than anxious to win
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Crossing the Unknown Sea Work as a Pilgrimage of
Identity, by David Whyte You have set sail on
another ocean without star or compass going
where the argument leads shattering the
certainties of centuries. Janet Kalven,
Respectable Outlaw
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My Story.
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Best is not Good enough!Suggests a linear
measurement rod
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Point of View!/Point of Difference!
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TomResolution2005 (full year) Every project,
small or large, this year will have to answer the
question, Does this change the world? HP ran a
banner ad, HAVE YOU CHANGED CIVILIZATION TODAY?
Ill make that the first last question I ask
myself each day! TomResolution2005 (within the
next 10 minutes) I will be hall monitor for my
attitude concerning each every human contact I
have this year, starting IMMEDIATELY. Do I
exude Passion Optimism Connection of the sort
that invariably engages others? (Hint This
applies as much to the 30-second exchange I have
with a checkout clerk at Shaws grocery in
Manchester VT as it does in a speech to very
senior execs in Zurich on January 11.)
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Question 1 HOW WILL THIS PROJECT ENHANCE THE
CUSTOMER EXPERIENCE IN A WAY THAT WILL IMPLEMENT
DRAMATIC DIFFERENCES FROM OUR COMPETITORS
SO THAT WE CAN CAPTURE NEW CUSTOMERS, RETAIN OLD
CUSTOMERS GROW THEIR BUSINESS, BUILD OUR BRAND
INTO A LOVEMARK AND KICK-START THE TOP LINE ?
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In Toms world, its always better to try a
swan dive and deliver a colossal belly flop than
to step timidly off the board while holding your
nose. Fast Company /October2003
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The only reason to give a speech is to change
the world. JFK
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To do something well is soworthwhile that to die
tryingto do it better cannot be foolhardy.It
would be a waste of life to donothing with ones
ability,for I feel that life is measuredin
achievementnot in years alone.Bruce McLaren
(Good As Gold Being a New Zealander)
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Enterprise on Fire! On one small issue
(SUBSTANCE) I had troubles in Saudi Arabia. My
value added message works better in the U.S.
Ireland Singapore Dubai than in resource-rich
Saudi. (And with the Chinese Breakout, expect
energy demand oil prices to remain
stratospheric.) But it went well. Hence, In
fact, I had a mini-epiphany. Ive encapsulated it
in a new Title for my presentations ENTERPRISE
ON FIRE. I figured out that what Im really
selling is not a detailed strategy (much as I
see it that way), but a State of Mind. Said
state of mind encompasses and glorifies Energy
Technicolor WOW Spirit Entrepreneurial
Spunk Risk-taking Wild and Woolly Innovation
Outrageously Cool Talent Freaks Service
Gasp-worthy (my new fav term) Experiences
Passion per se Compassion Grace
Independence and Individualism-at-Work Inspired
Failures Great Leaps of Faith Bet-the-Company
(or Career) Projects. This Idea/agenda
(ENTERPRISE ON FIRE) is as practical (necessary)
in Saudi as in the U.S.A. (Hence, it apparently
resonates in both.) (Hence, my continued
employment!)
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Tom Peters Re-ImagineEnterprise On
Fire!
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Everybodys Story.
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One Singaporean worker costs as much
as 3 in Malaysia 8
in Thailand 13 in China
18 in India. Source The Straits
Times/08.18.03
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Thaksinomics (after Thaksin Shinawatra, PM)/
Bangkok Fashion City managed asset reflation
(add to brand value of Thai textiles by
demonstrating flair and design excellence)Sourc
e The Straits Times/03.04.2004
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1. Re-imagine Permanence The Emperor Has No
Clothes!
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Forbes100 from 1917 to 1987 39 members of the
Class of 17 were alive in 87 18 in 87 F100
18 F100 survivors underperformed the market by
20 just 2 (2), GE Kodak, outperformed the
market 1917 to 1987.SP 500 from 1957 to 1997
74 members of the Class of 57 were alive in 97
12 (2.4) of 500 outperformed the market from
1957 to 1997.Source Dick Foster Sarah
Kaplan, Creative Destruction Why Companies That
Are Built to Last Underperform the Market
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I am often asked by would-be entrepreneurs
seeking escape from life within huge corporate
structures, How do I build a small firm for
myself? The answer seems obvious Buy a very
large one and just wait. Paul Ormerod, Why Most
Things Fail Evolution, Extinction and Economics
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The difficulties arise from the inherent
conflict between the need to control existing
operations and the need to create the kind of
environment that will permit new ideas to
flourishand old ones to die a timely death. We
believe that most corporations will find it
impossible to match or outperform the market
without abandoning the assumption of continuity.
The current apocalypsethe transition from a
state of continuity to state of discontinuityhas
the same suddenness as the trauma that beset
civilization in 1000 A.D. Richard Foster
Sarah Kaplan, Creative Destruction (The
McKinsey Quarterly)
45
The corporation as we know it, which is now 120
years old, is not likely to survive the next 25
years. Legally and financially, yes, but not
structurally and economically.Peter Drucker,
Business 2.0
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2. Re-imagine Innovate or Die!
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A380!
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Re-imagine General ElectricWelch was to a
large degree a growth by acquisition man. In
the late 90s, Immelt says, we became business
traders, not business growers. Today organic
growth is absolutely the biggest task of
everyone of our companies. If we dont hit our
organic growth targets, people are not going to
get paid. Immelt has staked GEs future
growth on the force that guided the company at
its birth and for much of its history
breathtaking, mind-blowing, world-rattling
technological innovation. GE Sees the
Light/Business 2.0/July 2004
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Under his former boss, Jack Welch, the skills GE
prized above all others were cost-cutting,
efficiency and deal-making. What mattered was the
continual improvement of operations, and that
mindset helped the 152 billion industrial and
finance behemoth a marvel of earnings
consistency. Immelt hasnt turned his back on the
old ways. But in his GE, the new imperatives are
risk-taking, sophisticated marketing and, above
all, innovation. BW/032805
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Acquisitions are about buying market share. Our
challenge is to create markets. There is a big
difference. Peter Job, CEO, Reuters

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No Wiggle Room! Incrementalism is innovations
worst enemy. Nicholas Negroponte
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Beware of the tyranny of making Small Changes to
Small Things. Rather, make Big Changes to Big
Things. Roger Enrico, former Chairman, PepsiCo
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Wealth in this new regime flows directly from
innovation, not optimization. That is, wealth is
not gained by perfecting the known, but by
imperfectly seizing the unknown. Kevin Kelly,
New Rules for the New Economy
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Reward excellent failures. Punish mediocre
successes.Phil Daniels, Sydney exec
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They say Improve.I say Re-imagine!
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Innovation Index How many of your Top 5
Strategic Initiatives/Key Projects score 8 or
higher (out of 10) on a Weirdness/Profundity/
Game-changer Scale?
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Kevin Roberts Credo1. Ready.
Fire! Aim.2. If it aint broke ... Break it!3.
Hire crazies.4. Ask dumb questions.5. Pursue
failure.6. Lead, follow ... or get out of the
way!7. Spread confusion.8. Ditch your
office.9. Read odd stuff.10. Avoid moderation!
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The SE22 Origins of Sustainable
Entrepreneurship
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SE22/Origins of Sustainable
Entrepreneurship 1. Genetically disposed to
Innovations that upset apple carts (3M,
Apple, FedEx, Virgin, BMW, Sony, Nike, Schwab,
Starbucks, Oracle, Sun, Fox, Stanford
University, MIT) 2. Perpetually determined to
outdo oneself, even to the detriment of
todays winners (Apple, Cirque du Soleil,
Microsoft, Nokia, FedEx) 3. Treat History as
the Enemy (GE) 4. Love the Great Leap/Enjoy the
Hunt (Apple, Oracle, Intel, Nokia,
Sony) 5. Use Strategic Thrust Overlays to
Attack Monster Problems (Sysco, GSK, GE,
Microsoft) 6. Establish a Be on the COOL Team
Ethos. (Most PSFs, Microsoft) 7. Encourage
Vigorous Dissent/Genetically Noisy (Intel,
Apple, Microsoft, CitiGroup, PepsiCo) 8.
Culturally as well as organizationally
Decentralized (GE, JJ, Omnicom) 9.
Multi-entrepreneurship/Many Independent-minded
Stars (GE, PepsiCo, Time Warner)
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SE22/Origins of Sustainable
Entrepreneurship 10. Keep decentralizingtireles
s in pursuit of wiping out Centralizing
Tendencies (JJ, Virgin) 11. Scour the world for
Ingenious Alliance Partnersespecially
exciting start-ups (Pfizer) 12. Acquire for
Innovation, not Market Share (Cisco, GE) 13.
Dont overdo pursuit of synergy (GE, JJ, Time
Warner) 14. Execution/Action Bias Just do it
dont obsess on how it fits the business
model. (3M, J J) 15. Find and Encourage and
Promote Strong-willed/Hyper-
smart/Independent people (GE, PepsiCo,
Microsoft) 16. Support Internal
Entrepreneurs/Intrapreneurs (3M, Microsoft) 17.
Ferret out Talent anywhere and everywhere/No
limits approach to retaining top talent
(Nike, Virgin, GE, PepsiCo)
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DePuySpine/JJ70/350game-changers!Still
decentralized after all these years!
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SE22/Origins of Sustainable
Entrepreneurship 18. Unmistakable Results
Accountability focus from the get-go to the
grave (GE, New York Yankees, PepsiCo) 19. Up or
Out (GE, McKinsey, big consultancies and law
firms and ad agencies and movie studios
in general) 20. Competitive to a fault! (GE, New
York Yankees, News Corp/Fox,
PepsiCo) 21. Bi-polar Top Team, with Unglued
Innovator 1, powerful Control Freak 2
(Oracle, Virgin) (Watch out when 2 is
missing Enron) 22. Masters of Loose-Tight/Hard-no
sed about a very few Core Values,
Open-minded about everything else (Virgin)
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3. Re-imagine the Roots of Innovation THINK
WEIRD the High Value Added Bedrock.
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FLASH Innovation is easy!
65
Saviors-in-WaitingDisgruntled
CustomersOff-the-Scope CompetitorsRogue
EmployeesFringe SuppliersWayne Burkan, Wide
Angle Vision Beat the Competition by Focusing on
Fringe Competitors, Lost Customers, and Rogue
Employees
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CUSTOMERS Future-defining customers may account
for only 2 to 3 of your total, but they
represent a crucial window on the
future.Adrian Slywotzky, Mercer Consultants
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COMPETITORS The best swordsman in the world
doesnt need to fear the second best swordsman in
the world no, the person for him to be afraid of
is some ignorant antagonist who has never had a
sword in his hand before he doesnt do the thing
he ought to do, and so the expert isnt prepared
for him he does the thing he ought not to do and
often it catches the expert out and ends him on
the spot. Mark Twain
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To grow, companies need to break out of a
vicious cycle of competitive benchmarking and
imitation. W. Chan Kim Renée Mauborgne,
Think for Yourself Stop Copying a Rival,
Financial Times/08.11.03
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The short road to ruin is to emulate the
methods of your adversary. Winston Churchill
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This is an essay about what it takes to create
and sell something remarkable. It is a plea for
originality, passion, guts and daring. You cant
be remarkable by following someone else whos
remarkable. One way to figure out a theory is to
look at whats working in the real world and
determine what the successes have in common. But
what could the Four Seasons and Motel 6 possibly
have in common? Or Neiman-Marcus and WalMart? Or
Nokia (bringing out new hardware every 30 days or
so) and Nintendo (marketing the same Game Boy 14
years in a row)? Its like trying to drive
looking in the rearview mirror. The thing that
all these companies have in common is that they
have nothing in common. They are outliers.
Theyre on the fringes. Superfast or superslow.
Very exclusive or very cheap. Extremely big or
extremely small. The reason its so hard to
follow the leader is this The leader is the
leader precisely because he did something
remarkable. And that remarkable thing is now
takenso its no longer remarkable when you
decide to do it. Seth Godin, Fast
Company/02.2003
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How do dominant companies lose their position?
Two-thirds of the time, they pick the wrong
competitor to worry about. Don Listwin, CEO,
Openwave Systems/WSJ/06.01.2004 (commenting on
Nokia)
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Kodak . FujiGM . FordFord . GMIBM .
Siemens, FujitsuSears KmartXerox . Kodak, IBM
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Employees Are there enough weird people in the
lab these days?V. Chmn., pharmaceutical house,
to a lab director
74
Why Do I love
Freaks? (1) Because when Anything Interesting
happens it was a freak who did it. (Period.)
(2) Freaks are fun. (Freaks are also a pain.)
(Freaks are never boring.) (3) We need freaks.
Especially in freaky times. (Hint These are
freaky times, for you me the CIA the Army
Avon.) (4) A critical mass of
freaks-in-our-midst automatically make
us-who-are-not-so-freaky at least somewhat more
freaky. (Which is a Good Thing in freaky
timessee immediately above.) (5) Freaks are
the only (ONLY) ones who succeedas in, make it
into the history books. (6) Freaks keep us
from falling into ruts. (If we listen to them.)
(We seldom listen to them.) (Which is why most of
usand our organizationsare in ruts. Make that
chasms.)
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We become who we hang out with!
76
Measure Strangeness/Portfolio
QualityStaffConsultantsVendorsOut-sourcing
Partners (, Quality)Innovation Alliance
PartnersCustomersCompetitors (who we
benchmark against) Strategic Initiatives
Product Portfolio (LineEx v. Leap)IS/IT
ProjectsHQ LocationLunch MatesLanguageBoard
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The Bottleneck is at the Top of the
BottleWhere are you likely to find people
with the least diversity of experience, the
largest investment in the past, and the greatest
reverence for industry dogma? At the top!
Gary Hamel/Strategy or Revolution/Harvard
Business Review
78
4. Re-imagine Organizing I IS/IT as Disruptive
Tool!
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We all live in Dell-WalMart-eBay-Google World!
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Productivity!McKesson 2002-2003 Revenue 7B
Employees 500Source USA Today/06.14.04
81
Invisible Supplier Has Penneys Shirts All
Buttoned Up From Hong Kong, It Tracks Sales,
Restocks Shelves, Ships Right to the Store.
Headline, Wall Street Journal (09.11.03)
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Our entire facility is digital. No paper, no
film, no medical records. Nothing. And its all
integratedfrom the lab to X-ray to records to
physician order entry. Patients dont have to
wait for anything. The information from the
physicians office is in registration and vice
versa. The referring physician is immediately
sent an email telling him his patient has shown
up. Its wireless in-house. We have 800
notebook computers that are wireless. Physicians
can walk around with a computer thats
pre-programmed. If the physician wants, well go
out and wire their house so they can sit on the
couch and connect to the network. They can review
a chart from 100 miles away. David Veillette,
CEO, Indiana Heart Hospital (HealthLeaders/12.2002
)
83
Ebusiness is about rebuilding the organization
from the ground up. Most companies today are not
built to exploit the Internet. Their business
processes, their approvals, their hierarchies,
the number of people they employ all of that is
wrong for running an ebusiness.Ray Lane,
Kleiner Perkins
84
The organizations we created have become
tyrants. They have taken control, holding us
fettered, creating barriers that hinder rather
than help our businesses. The lines that we drew
on our neat organizational diagrams have turned
into walls that no one can scale or penetrate or
even peer over. Frank Lekanne Deprez René
Tissen, Zero Space Moving Beyond Organizational
Limits.
85
5 F500 have CIO on Board While some of the
worlds most admired companiesTesco,
WalMartare transforming the business landscape
by including technology experts on their boards,
the vast majority are missing out on ways to
boost productivity, competitiveness and
shareholder value.Source Burson-Marsteller
86
Aggressive/ Bold/GameChanger
Bold/Creative Destruction Cool Supplier
Portfolio Web Fanaticism
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5. Re-imagine Organizing II What Organization?
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Organizations will still be critically important
in the world, but as organizers, not
employers! Charles Handy
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07.04/TP In Nagano Revenue 10BFTE
1Maybe
90
Not out sourcingNot off shoringNot near
shoringNot in sourcingbut Best Sourcing
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6. Re-imagine Organizing III The White-Collar
Tsunami and the Professional Service Firm (PSF)
Imperative.
92
E.g. Jeff Immelt 75 of admin, back room,
finance digitalized in 3 years.Source BW
(01.28.02)
93
Sarah Papa, what do you do?Papa Im
overhead.
94
Sarah Papa, what do you do?Papa I
manage a cost center.
95
Job One Getting (WAY) beyond the Cost center,
Overhead mentality!
96
Answer PSF!Professional Service
FirmDepartment Head to Managing Partner,
HR IS, etc. Inc.
97
The PSF35 Thirty-Five Professional Service
Firm Marks of Excellence
98
The PSF35 The Work The
Legacy1. CRYSTAL CLEAR POINT OF VIEW (Every
Practice Group If you cant explain your
position in eight words or less, you dont have a
positionSeth Godin)2. DRAMATIC DIFFERENCE
(We are the only ones who do what we
doJerry Garcia)3. Stretch Is Routine (Never
bite off less than you can chewanon.)4.
Eye-Appetite for Game-changer Projects
(Excellence at Assembling Best TeamFast)
5. Playful Clients (Adventurous folks who
unfailingly Aim to Change the World)6. Small
Uneconomic Clients with Big Aims 7. Life Is Too
Short to Work with Jerks (Fire lousy clients)8.
OBSESSED WITH LEGACY (Practice Group and
Individual Dent the UniverseSteve
Jobs)9. Fire-on-the-spot Anyone Who Says,
Law/Architecture/Consulting/ I-banking/
Accounting/PR/Etc. has become a commodity 10.
Consistent with 9 above DO NOT SHY AWAY FROM
THE WORD (IDEA) RADICAL
99
Point of View!
100
R.POV8Remarkable Point Of View/8 Words or
less/If you cant state your position in eight
words or less, you dont have a position.SG
101
Gasp-worthy!
102
Every project we undertake starts with the same
question How can we do what has never been done
before? Stuart Hornery, Lend Lease
103
Question 1 HOW WILL THIS PROJECT ENHANCE THE
CUSTOMER EXPERIENCE IN A WAY THAT WILL IMPLEMENT
DRAMATIC DIFFERENCES FROM OUR COMPETITORS
SO THAT WE CAN CAPTURE NEW CUSTOMERS, RETAIN OLD
CUSTOMERS GROW THEIR BUSINESS, BUILD OUR BRAND
INTO A LOVEMARK AND KICK-START THE TOP LINE ?
104
The PSF35 The Client
Experience11. Always team with client full
partners in achieving memorable results
(Wanted Chimeras of Moonstruck
Minds!)12. We will seek assistance Anywhere to
assemble the Best-in- Planet Team for the
Project13. Client Team Members routinely declare
that working with us was the Peak
Experience of my Career14. The jobs not done
until implementation is 100.00 complete
(Those who dont get it must go)15.
IMPLEMENTATION IS NOT COMPLETE UNTIL THE CLIENT
HAS EXPERIENCED CULTURE CHANGE16.
IMPLEMENTATION IS NOT COMPLETE UNTIL SIGNIFICANT
TECHNOLOGY TRANSFER HAS TAKEN PLACE-ROOT
(Teach a man to fish )17. The Final
Exam DID WE MAKE A DRAMATIC, LASTING,
GAME-CHANGING DIFFERENCE?
105
The PSF35 The People The
Leadership18. TALENT FANATICS (Best-Coolest
place to work) (PERIOD)19. EYE FOR THE PECULIAR
(Hiring Go beyond same old, same old)
20. Early Opportunities (vs. Wait your turn)
21. Up or Out (Based on Legacy/Mentoring as
much as Billings/Rainmaking)22. Slide
the Old Aside/Make Room for Youth (Find oldsters
new roles?)23. TALENT IS OBSESSED WITH
RENEWAL FROM DAY 1 TO DAY R R
Retirement24. Office/Practice Leaders Evaluated
Primarily on Mentoring-Team Building
Skills 25. A PROPRIETARY TALENT DEVELOPMENT
PROCESS (GE) 26. Team Leadership Skills Valued
Early27. Partner with B.I.W. Best In World
Outsiders as Needed and to Infuse Different
Views
106
The PSF35 The Firm The
Brand28. EAT-SLEEP-BREATHE-OOZE INTEGRITY (My
life is my messageGandhi) 29. Excellence
in EXECUTION 100.00 of the Time (No such
thing as a small sins/World Series Ring to
the Batboy!) 30. Drop everything/Swarm to
Support a Harried-On The Verge Team31.
SPEND AS AGGRESSIVELY ON RD AS A TECH FIRM OR
CIRQUE DU SOLEIL 32. A PROPRIETARY
METHODOLOGY (FBR, McKinsey, Chiat Day, IDEO, old
EDS)33. Web (Technology) Obsession 34.
BRAND/LOVEMARK MANIACS (Organize Around a
Point of View Worth BROADCASTING You must
be the change you wish to see in the
worldGandhi) 35. PASSION! ENTHUSIASM! (Passion
Enthusiasm have as much a place at the
Head Table in a PSF as in a widgets
factory You cant behave in a calm, rational
manner. Youve got to be out there on the
lunatic fringeJack Welch)
107
Static/ImitativeIntegrity.Quality.Excellence.
Continuous Improvement.Superior Service (Exceeds
Expectations.)Completely Satisfactory
Transaction.Smooth Evolution.Market
Share.Dynamic/DifferentDramatic
Difference!Disruptive!Insanely Great!
(Quality)Life-(Industry-)changing
Experience!Game-changing!WOW!Surprise!Delight!
Breathtaking!Punctuated Equilibrium!Market
Creation!
108
Never doubt that a small group of committed
people can change the world. Indeed it is the
only thing that ever has. Margaret Mead
109
The WOW! Project.
110
Your Current Project?1. Another
days work/Pays the rent.4. Of value.7.
Pretty Damn Cool/Definitely subversive.10.
WE AIM TO CHANGE THE WORLD.
(Insane!/Insanely Great!/WOW!)
111
Measures

• Beauty!
• WOW!
• Raving Fans!
• Impact!

112
Reward excellent failures. Punish mediocre
successes.Phil Daniels, Sydney exec
113
PSF Everything The PSF Ladder to the Stars
114
PSF Everything The PSF Ladder to the
Stars!Apex II Dreamketing/DreamMerchantsApex
I DisruptionDervishesProduct II PSF
w/R.POV8 ( (Remarkable Point Of View in 8
Words or Less)Product I PSF BY WOW!
ProjectsBase II DNA WOW! ProjectsBase I
Talent Brand Yous on QuestsBEDROCK LOVEMARK
LEADERSHIP
115
7. Re-imagine Businesss Fundamental Value
Proposition PSFs Unbound Fighting
Inevitable Commoditization via The Solutions
Imperative.
116
The surplus society has a surplus of similar
companies, employing similar people, with similar
educational backgrounds, coming up with similar
ideas, producing similar things, with similar
prices and similar quality.Kjell Nordström
and Jonas Ridderstråle, Funky Business
117
Variety(11.04) 150 speakers _at_ 40K
118
Big Browns New Bag UPS Aims to Be the Traffic
Manager for Corporate America Headline/BW/07.19.
2004
119
SCS/Supply Chain Solutions 750 locations
2.5B fastest growing division 19 acquisitions,
including a bankSource Fast Company/02.04
120
New York-Presbyterian 7-year, 500M
enterprise-systems consulting and equipment
contract with GE Medical SystemsSource
NYT/07.18.2004
121
Customer Satisfaction to Customer
SuccessWere getting better at Six Sigma
every day. But we really need to think about the
customers profitability. Are customers bottom
lines really benefiting from what we provide
them?Bob Nardelli, GE Power Systems
122
Bear In Mind Customer Satisfaction versus
Customer Success
123
Beyond the Transaction MentalityGood hotel/
Happy guest vs. Great Vacation/ Great
Conference/ Operation Personal RenewalGood
to Be Home
124
8. Re-imagine Enterprise as Theater I A World
of Scintillating Experiences.
125
Experiences are as distinct from services as
services are from goods.Joseph Pine James
Gilmore, The Experience Economy Work Is Theatre
Every Business a Stage
126
Club Med is more than just a resort its a
means of rediscovering oneself, of inventing an
entirely new me. Source Jean-Marie Dru,
Disruption
127
Experience Rebel Lifestyle!What we sell is
the ability for a 43-year-old accountant to dress
in black leather, ride through small towns and
have people be afraid of him.Harley exec,
quoted in Results-Based Leadership
128
2/503Q04
129
The Experience LadderExperiences
ServicesGoods Raw Materials
130
The Experience Ladder/TPExperiences
Solutions/SuccessServicesGoods Raw Materials
131
9. Re-imagine Enterprise as Theater II
Embracing the Dream Business.
132
DREAM A dream is a complete moment in the life
of a client. Important experiences that tempt the
client to commit substantial resources. The
essence of the desires of the consumer. The
opportunity to help clients become what they want
to be. Gian Luigi Longinotti-Buitoni
133
Experience Ladder/TPDreams Come True Awesome
ExperiencesSolutions/SuccessServicesGoodsRaw
Materials
134
10. Re-imagine the Fundamental Selling
Proposition It all adds up to (THE
BRAND.) (THE STORY.)(THE DREAM.)THE LOVE.
135
WHO ARE WE?
136
WHATS OUR STORY?
137
WHATS THE DREAM?
138
Brands have run out of juice. Theyre dead.
Kevin Roberts/Saatchi Saatchi
139
Kevin Roberts Lovemarks!CEO/Saatchi
Saatchi
140
When we were working through the essentials of a
Lovemark, Mystery was always at the top of the
list. Lovemarks The Future Beyond Brands,
Kevin Roberts
141
MysteryMagic SensualityEnchantmentInt
imacyExplorationSource Kevin Roberts (e.g.
Apple/iMac/ Yum.)
142
(No Transcript)
143
(No Transcript)
144
(No Transcript)
145
(No Transcript)
146
Top 10 Tattoo BrandsHarley . 18.9Disney
.... 14.8Coke . 7.7Google .... 6.6Pepsi ....
6.1Rolex . 5.6Nike . 4.6Adidas .
3.1Absolut . 2.6Nintendo . 1.5BRANDsense
Build Powerful Brands through Touch, Taste,
Smell, Sight, and Sound, Martin Lindstrom
147
Explanation for prior slide The of users who
would tattoo the brand name on their body!
148
Lovemark Dreams Come True Awesome
ExperiencesSolutions/SuccessServicesGoodsRaw
Materials
149
New C-Levels
150
CXOChief eXperience Officer
151
CFOChief Festivals Officer
152
CCOChief Conversations Officer
153
CSOChief Seduction Officer
154
CLOChief LoveMark Officer
155
CDMChief Dream Merchant
156
CPIChief Portal Impresario
157
CWOChief WOW Officer
158
CSTOChief StoryTelling Officer
159
11. Re-imagine the Customer I Trends Worth
Trillion Women Roar.
160
?????????Home Furnishings 94Vacations 92
(Adventure Travel 70/ 55B travel
equipment)Houses 91D.I.Y. (major home
projects) 80Consumer Electronics 51 (66
home computers) Cars 68 (90)All consumer
purchases 83 Bank Account 89Household
investment decisions 67Small business
loans/biz starts 70Health Care 80
161
91 women ADVERTISERS DONT UNDERSTAND US.
(58 ANNOYED.)Source Greenfield Online for
Arnolds Womens Insight Team (Martha Barletta,
Marketing to Women)
162
FemaleThink/ Popcorn MarigoldMen and women
dont think the same way, dont communicate the
same way, dont buy for the same reasons.He
simply wants the transaction to take place. Shes
interested in creating a relationship. Every
place women go, they make connections.
163
SensesVision Men, focused Women,
peripheral.Hearing Womens discomfort level I/2
mens.Smell Women gtgt Men.Touch Most sensitive
man lt Least sensitive women.Source Martha
Barletta, Marketing to Women
164
Editorial/Men Tables, rankings.Editorial/Women
Narratives that cohere.Redwood (UK)
165
Initiate PurchaseMen Study facts
features.Women Ask lots of people for
input.Source Martha Barletta, Marketing to
Women
166
Thanks, Marti Barletta!
167
The Perfect Answer
Jill and Jack buy slacks in black
168
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169
Read This Book EVEolution The Eight Truths
of Marketing to WomenFaith Popcorn Lys
Marigold
170
EVEolution Truth No. 1Connecting Your Female
Consumers to Each Other Connects Them to Your
Brand
171
The Connection Proclivity in women starts
early. When asked, How was school today? a girl
usually tells her mother every detail of what
happened, while a boy might grunt, Fine.
EVEolution
172
Women dont buy brands. They join
them.EVEolution
173
1. Men and women are different.2. Very
different.3. VERY, VERY DIFFERENT.4. Women
Men have a-b-s-o-l-u-t-e-l-y nothing in
common.5. Women buy lotsa stuff.6. WOMEN BUY
A-L-L THE STUFF.7. Womens Market Opportunity
No. 1.8. Men are (STILL) in charge.9. MEN ARE
TOTALLY, HOPELESSLY CLUELESS ABOUT WOMEN.10.
Womens Market Opportunity No. 1.
174
12. Re-imagine the Customer II Trends Worth
Trillion Boomer Bonanza/ Godzilla Geezer.
175
Subject Marketers StupidityIts 18-44,
stupid!
176
Subject Marketers StupidityOr is it 18-44
is stupid, stupid!
177
2000-2010 Stats18-44 -155 21(55-64
47)
178
44-65 New Customer Majority 45 larger
than 18-43 60 larger by 2010Source Ageless
Marketing, David Wolfe Robert Snyder
179
The New Customer Majority is the only adult
market with realistic prospects for significant
sales growth in dozens of product lines for
thousands of companies. David Wolfe Robert
Snyder, Ageless Marketing
180
Households headed by someone 40 or older enjoy
91 (9.7T) of our populations net worth. The
mature market is the dominant market in the U.S.
economy, making the majority of expenditures in
virtually every category. Carol Morgan Doran
Levy, Marketing to the Mindset of Boomers and
Their Elders
181
Marketers attempts at reaching those over 50
have been miserably unsuccessful. No markets
motivations and needs are so poorly
understood.Peter Francese, founding publisher,
American Demographics
182
Possession Experiences /Desires for
things/Young adulthood/to 38Catered
Experiences/ Desires to be served by
others/Middle adulthoodBeing
Experiences/Desires for transcending
experiences/Late adulthoodSource David Wolfe
and Robert Snyder/Ageless Marketing
183
Age Power will rule the 21st century, and we
are woefully unprepared.Ken Dychtwald, Age
Power How the 21st Century Will Be Ruled by the
New Old
184
13. Re-imagine Excellence The Talent Obsession.
185
Agriculture Age (farmers)Industrial Age (factory
workers)Information Age (knowledge
workers)Conceptual Age (creators and
empathizers)Source Dan Pink, A Whole New Mind
186
Human creativity is the ultimate economic
resource. Richard Florida, The Rise of the
Creative Class
187
Brand Talent.
188
The leaders of Great Groups love talent and
know where to find it. They revel in the talent
of others.Warren Bennis Patricia Ward
Biederman, Organizing Genius
189
THE FUTURE BELONGS TO SMALL POPULATIONS
WHO BUILD EMPIRES OF THE MIND AND WHO IGNORE
THE TEMPTATION OFOR DO NOT HAVE THE OPTION
OFEXPLOITING NATURAL RESOURCES.Source Juan
Enriquez/As the Future Catches You
190
From 1, 2 or youre out JW to Best
Talent in each industry segment to build best
proprietary intangibles EMSource Ed
Michaels, War for Talent
191
Did We Say Talent Matters?The top software
developers are more productive than average
software developers not by a factor of 10X or
100X, or even 1,000X, but 10,000X. Nathan
Myhrvold, former Chief Scientist, Microsoft
192
The Cracked Ones Let in the LightOur business
needs a massive transfusion of talent, and
talent, I believe, is most likely to be found
among non-conformists, dissenters and
rebels.David Ogilvy
193
Our MissionTo develop and manage talentto
apply that talent,throughout the world, for the
benefit of clientsto do so in partnership to
do so with profit.WPP
194
14. Re-imagine the Brand Promise The Brand
INSIDE Obsession.
195
A PEERLESS BRAND INSIDE THE NEW BASIS FOR AN
IMPERATIVE VALUE-ADDED REVOLUTION
196
If I could have chosen not to tackle the IBM
culture head-on, I probably wouldnt have. My
bias coming in was toward strategy, analysis and
measurement. In comparison, changing the attitude
and behaviors of hundreds of thousands of people
is very, very hard. Yet I came to see in my
time at IBM that culture isnt just one aspect of
the gameit is the game. Lou Gerstner, Who Says
Elephants Cant Dance
197
The New Enterprise Value-Added Equation/Mark2005
(1) 100 WOW PROJECTS (New Org DNA/The
Work) (2) Incredible TALENT Transformed
into (3) Entrepreneurial BRAND YOUs and (4)
Launched on Awesome QUESTS (5) Internal
Rockin PSFs (Staff Depts. Morphed into Wildly
Innovative Professional Service Firms) (6)
Which Coalesce to Transform the FEVP/Fundamental
Enterprise Value Proposition from Superior
Products Services to ENCOMPASSING SOLUTIONS
GAME-CHANGING CLIENT SUCCESS
198
Re-imagine Tomorrows Organizations Itinerant
Potential Machines.
199
It is not the strongest of the species that
survives, nor the most intelligent, but the one
most responsive to change. Charles Darwin
(courtesy HP)
200
TALENT POOL TO DIE FOR. Youthful. Insanely
energetic. Value creativity. Risk taking is
routine. Failing is normal if youre
stretching. Want to make their bones in the
revolution. Love the new technologies. Well
rewarded. Dont plan to be around 10 years from
now.
201
TALENT POOL PLUS. Seek out and work with
worlds best as needed (its often needed). We
aim to change the world, and we need gifted
colleagueswho well may not be on our payroll.
202
BRASSY-BUT-GROUNDED-LEADERSHIP. Say I dont
knowand then unleash the TALENT. Have a vision
to be DRAMATICALLY DIFFERENTbut dont expect the
co. to be around forever. Will scrap pet
projects, and change course 180 degreesand take
a big write-off in the process. NO REGRETS FROM
SCREW-UPS WHOSE TIME HAS NOT-YET-COME. GREAT
REGRETS AT TIME WASTED ON ME TOO PRODUCTS
AND PROJECTS.
203
BRASSY-BUT-GROUNDED-LEADERSHIP. (Cont.)
Visionary leaders matched by leaders with
shrewd business sense HOW DO WE TURN A PROFIT
ON THIS GORGEOUS IDEA? Appreciate market
creation as much as or more than market share
growth. ARE INSANELY AWARE THAT MARKET LEADERS
ARE ALWAYS IN PRECARIOUS POSITIONS, AND THAT
MARKET SHARE WILL NOT PROTECT US, IN TODAYS
VOLATILE WORLD, FROM THE NEXT KILLER IDEA AND
KILLER ENTREPRENEUR. (Gates. Ellison. Venter.
McNealy. Walton. Case. Etc.)
204
ALLIANCE MANIACS. Dont assume that the best
resides within. WORK WITH A SHIFTING ARRAY OF
STATE-OF-THE-ART PARTNERS FROM ONE END OF THE
SUPPLY CHAIN TO THE OTHER. Including vendors
and consultants and especially PIONEERING
CUSTOMERS who will pull us into the future.
205
TECHNOLOGY-NETWORK FANATICS. Run the
whole-damn-company, and relations with all
outsiders, on the Internet at Internet speed.
Reluctant to work with those who dont share
this (radical) vision.
206
POTENTIAL MACHINES-ORGANISMS. Dont know whats
coming next. But are ready to jump at
opportunities, especially those that
challenge-overturn our own way of doing things.
207
15. Re-imagine Leadership for Totally Screwed-Up
Times The Passion Imperative.
208
Start a Crusade!
209
G.H. Create a cause, not a business.
210
Management has a lot to do with answers.
Leadership is a function of questions. And the
first question for a leader always is Who do we
intend to be? Not What are we going to do? but
Who do we intend to be? Max De Pree, Herman
Miller
211
the wildest chimera of a moonstruck mind The
Federalist on TJs Louisiana Purchase
212
Ah, kids What is your vision for the future?
What have you accomplished since your first
book? Close your eyes and imagine me
immediately doing something about what youve
just said. What would it be? Do you feel you
have an obligation to Make the world a better
place?
213
Trumpet an Exhilarating Story!
214
Leaders dont just make products and make
decisions. Leaders make meaning. John Seely
Brown
215
A key perhaps the key to leadership is
the effective communication of a
story.Howard Gardner/Leading Minds An
Anatomy of Leadership
216
Leader Job 1Paint Portraits of Excellence!
217
Make It a Grand Adventure!
218
Ninety percent of what we call management
consists of making it difficult for people to get
things done. Peter Drucker
219
I dont know.
220
Quests!
221
Organizing Genius / Warren Bennis and Patricia
Ward BiedermanGroups become great only when
everyone in them, leaders and members alike, is
free to do his or her absolute best.The best
thing a leader can do for a Great Group is to
allow its members to discover their greatness.
222
Yes!!!!!!!!!!!!!!!!!free to do his or her
absolute best allow its members to discover
their greatness.
223
Lead the Action Faction!
224
We have a strategic plan. Its called doing
things. Herb Kelleher
225
The Kotler Doctrine1965-1980
R.A.F.(Ready.Aim.Fire.)1980-1995
R.F.A.(Ready.Fire!Aim.)1995-????
F.F.F.(Fire!Fire!Fire!)
226
Dispense Enthusiasm!
227
BZ I am a Dispenser of Enthusiasm!
228
Nothing is so contagious as enthusiasm.
Samuel Taylor Coleridge
229
A man without a smiling face must not open a
shop. Chinese ProverbCourtesy Tom Morris,
The Art of Achievement
230
You must be the change you wish to see in the
world.Gandhi
231
16. Free the Lunatic Within!
232
The greatest dangerfor most of usis not that
our aim istoo highand we miss it,but that it
istoo lowand we reach it.Michelangelo
233
You cant behave in a calm, rational manner.
Youve got to be out there on the lunatic
fringe. Jack Welch
234
!